On the 25th, Samsung Securities recommended ‘buy’ for CS Wind, saying it is a ‘blueprint that will become clearer.’ The target stock price was maintained at 96,000 won.
Heo Jae-jun, a researcher at Samsung Securities, said, “CS Wind’s consolidated sales in the fourth quarter are expected to record KRW 443.2 billion, a 7.0% increase compared to the same period last year, and KRW 34.9 billion, turning into a surplus.” He added, “Operating profit will be in line with the consensus of KRW 37.2 billion.” I predicted this.
He added, “We expect that the temporary decrease in operating profit related to sharing of the US Advanced Manufacturing Production Tax Credit (AMPC) and one-time profit related to the increase in selling price for existing contracts during the acquisition of Blatt will be reflected simultaneously.”
CS Wind announced the acquisition of Blatt, a Danish offshore wind power substructure company, on July 10 last year. The acquisition process will be completed on December 1 and will be reflected in the consolidated financial statements.
Daishin Securities predicted that Blatt would turn a profit in 2024, but predicted that it would be possible to turn a profit last year as negotiations with Orsted, a major customer of Blatt, were successfully completed during the acquisition process.
Researcher Heo said, “This is due to an increase in the selling price of existing contracts, write-off of compensation for late delivery, and improvement in the profitability of existing businesses,” adding, “However, last year’s turnaround to surplus was due to the greater contribution of the inorganic part than the organic part. “I think it is reasonable to believe that there will be a gradual improvement in profitability this year, rather than a large improvement in profitability,” he emphasized.